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dc.titleBeyond Leakages: Quantifying the Effects of Corruption on the Water and Sanitation Sector in Latin America and the Caribbean
dc.contributor.authorAdam, Isabelle
dc.contributor.authorFazekas, Mihály
dc.contributor.authorRegös, Nóra
dc.contributor.authorTóth, Bence
dc.contributor.editorBasani, Marcello
dc.contributor.editorGamba, Jacopo
dc.contributor.orgunitInstitutional Capacity of the State Division
dc.contributor.orgunitWater and Sanitation Division
dc.coverageLatin America and the Caribbean
dc.date.available2020-11-17T00:00:00
dc.date.issue2020-10-01T00:00:00
dc.description.abstractThe importance of transparency and governance as determinants of efficiency, effectiveness, and quality of service undoubtedly occupy a key place among the most relevant lessons learned from the reforms implemented in the Water and Sanitation sector (W&S) in Latin America and the Caribbean in the last two decades. In order to support data-driven policy reform aimed at increasing efficiency in public investments, the present analysis focuses on estimating direct financial costs in terms of contract award prices and direct social costs in terms of project delivery quality (measured as frequency of delays and cancellations). The following questions are explored: i) What are the scale and types of corruption affecting W&S services?; ii) What is the effect of corruption in terms of tender completion?; iii) What is the financial impact of corruption for W&S services providers, such as high cost of infrastructure development? Considering limitations of data and measurement, the analysis suggests that a decisive policy reform reducing risks by about two-thirds (aggressive scenario) could result in substantial savings across the sector: 7-16% of prices for standardized (e.g. chairs) as well as unique goods (e.g. pipes), and 10-19% lower incidence of cancellations and delays. While these may sound modest in percentage terms, total savings from effective anticorruption reforms are substantial, given the high value of total spending in the sector.
dc.format.extent124
dc.identifier.doihttp://dx.doi.org/10.18235/0002856
dc.identifier.urlhttps://publications.iadb.org/publications/english/document/Beyond-Leakages-Quantifying-the-Effects-of-Corruption-on-the-Water-and-Sanitation-Sector-in-Latin-America-and-the-Caribbean.pdf
dc.identifier.urlhttps://publications.iadb.org/publications/spanish/document/Mas-alla-de-las-fugas-cuantificando-los-efectos-de-la-corrupcion-en-el-sector-de-agua-y-saneamiento-de-America-Latina-y-el-Caribe.pdf
dc.language.isoen
dc.mediumAdobe PDF
dc.publisherInter-American Development Bank
dc.subjectWater and Sanitation
dc.subjectPublic Procurement
dc.subjectTransparency and Anticorruption
dc.subjectPublic Utility
dc.subjectProcurement
dc.subjectWater Utilities
dc.subjectPublic Works
dc.subjectService Provider
dc.subject.jelcodeQ01 - Sustainable Development
dc.subject.jelcodeQ25 - Water
dc.subject.jelcodeL95 - Gas Utilities • Pipelines • Water Utilities
dc.subject.jelcodeQ56 - Environment and Development • Environment and Trade • Sustainability • Environmental Accounts and Accounting • Environmental Equity • Population Growth
dc.subject.jelcodeD73 - Bureaucracy • Administrative Processes in Public Organizations • Corruption
dc.subject.jelcodeN56 - Latin America • Caribbean
dc.subject.keywordstransparency;corruption;integrity;Water and sanitation
dc.typeTechnical Notes
idb.identifier.pubnumberIDB-TN-02055
idb.operationRG-T3411
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